Ch6

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Across
  1. 2. 16th and 17th century- encouraging exports, discouraging imports, for government interference, for trade surplus ( more exports than imports) – zero sum game—survival of the fittest, always be the winner
  2. 4. Lower prices for consumers, focuses on each country to specialize on the products that can be produced most efficiently
  3. 7. Relativity—no absolute only more or less
  4. 9. Michael Porter-justifies certain interventions to help firm become more competitive
  5. 10. no barriers to trade, no tariffs, quota, no government interference—positive sum game—everyone working together
  6. 12. added more factors – Land, Labor, and Capital
  7. 13. Paul Krugman-intra trading—2 countries produce the same thing and still trade—taste and preferences matter to consumers
Down
  1. 1. economic and strategic advantages that increase economies of scales and barriers of entry for new companies – help firms gain competitive advantage (Government intervention)
  2. 3. specialization
  3. 5. politics into trade theory—trade still has costs—there are losers from trade
  4. 6. 1950’s- added the 4th factor—innovation/ technology – changing trade balance
  5. 8. Father of free trade and economics—tariffs are wasteful
  6. 11. adds to adam smith – efficiency is based on labor productivity (First factor)